2019 Non-Crows AFL Chat #3 - the off-season

[FR0GGY]

So forget China, seems the UK is where the big money is for Kochie and his Power.

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Looks like plenty of people out the back there too.

 

[GrommoT]

They also shifted a couple of their big names payments from this year to next year, the value reported at the time was well over $500k "savings"

I don't get this ... unless we're just taking the p!55 at them, I have the impression player payments were pretty much covered by AFL revenue and would be quarantined from being used for other purposes by Clubs so there could be no "savings" by shifting around player payments?

 

[Elite Crow]

I don't get this ... unless we're just taking the p!55 at them, I have the impression player payments were pretty much covered by AFL revenue and would be quarantined from being used for other purposes by Clubs so there could be no "savings" by shifting around player payments?

The only savings is perceived by shifting the expense from one period to the next, thereby boosting this years results

 

[Kane McGoodwin]

The only savings is perceived by shifting the expense from one period to the next, thereby boosting this years results

Mind you if their are scheduled contact player payments that were deferred, you would think technically these still need to be accrued in accordance with the contract... unless they amended player contracts.

 

[Pea Nut]

Mind you if their are scheduled contact player payments that were deferred, you would think technically these still need to be accrued in accordance with the contract... unless they amended player contracts.

They did. The players at the time were asked about it and they said they were happy to do it to help the club.

 

[1970crow]

I don't get this ... unless we're just taking the p!55 at them, I have the impression player payments were pretty much covered by AFL revenue and would be quarantined from being used for other purposes by Clubs so there could be no "savings" by shifting around player payments?

I reckon that the maximum difference between paying league minimum one year and rolling max the next would easily be $1m+. Year 1 pushed $500k to the bottom line, year 2 pulls it back.

 

[GrommoT]

The only savings is perceived by shifting the expense from one period to the next, thereby boosting this years results

What I'm getting at is player payments isn't really an expense to the club (it's to the AFL) but I guess if there were any associated payments (ASAs?) to players ... that could count.

Smoke & mirrors.

 

[ad victoriam]

We need to remember Port will be all about there 150th year and they do not want to start the year off with a recorded Financial Loss, 2021 will be there 151st year with KT and Koch Leaving and possibly their Coach. They will not care if they make a Loss.

And I will say this again Vozzo will not be replacing KT, that person will come from within the Club,
Vozzo will be groomed to replace Trevor Nisbett

 

[kulak]

The only savings is perceived by shifting the expense from one period to the next, thereby boosting this years results

That would move the cash payment but not the expense

 

[kulak]

What I'm getting at is player payments isn't really an expense to the club (it's to the AFL) but I guess if there were any associated payments (ASAs?) to players ... that could count.

Smoke & mirrors.

Surely player wages are an expense on the club’s accounts.

 

[GrommoT]

Surely player wages are an expense on the club’s accounts.

I haven't read anything explicitly but my impression is money for player payments that are part of each club's TPP originate from the AFL (TV deals, etc) and amounts go to players according to their contract with clubs. It's only the Additional Services Agreement payments (ASAs) club can arrange with some players and sponsors that don't originate from the AFL.

 

[GrommoT]

Surely player wages are an expense on the club’s accounts.

Ok, had a bit more of a dig around (self-education). THIS HPN article - and I don't know what the qualifications of the people behind it are but they seem to have put some effort into it - shows a breakdown of 2018 funding allocation to clubs on a needs base somewhat, the better doing clubs get less than the struggling clubs. I think it does show the bulk of player salaries originate from the AFL.

However, it looks like if players agree to it, clubs can divert some of the money from the AFL to cover other club expenses like THIS Ch9/CARO article suggests.

 

[Elite Crow]

That would move the cash payment but not the expense

If the salary is rejigged so it becomes a 2020 liability, it’s an expense for 2020

 

[1970crow]

That would move the cash payment but not the expense

The original contract would be terminated and a new contract agreed to. I expect that expense is taken up in line with the cash payments required under contract.

 

[Kane McGoodwin]

Ok, had a bit more of a dig around (self-education). THIS HPN article - and I don't know what the qualifications of the people behind it are but they seem to have put some effort into it - shows a breakdown of 2018 funding allocation to clubs on a needs base somewhat, the better doing clubs get less than the struggling clubs. I think it does show the bulk of player salaries originate from the AFL.

However, it looks like if players agree to it, clubs can divert some of the money from the AFL to cover other club expenses like THIS Ch9/CARO article suggests.

Thanks for the links.

So Port are still receiving around $3m than us from the AFL... as well as paying off less for the licence fee.

Really surprised Richmond with record membership deal are getting more than us & many others. If they don't make enough from the MCG deal then change it. I wouldn't mind a cheaper AO deal & the AFL chip in the difference. What a joke!

Really shows that the 4 less profitable Melbourne teams need to merge long term. Bulldogs, North, Saints & Melbourne. Should be 2 less Melbourne sides & Tassie instead of GC... & get back to a more even 16 team competition with a proper reserves competition.

 

[ad victoriam]

If the salary is rejigged so it becomes a 2020 liability, it’s an expense for 2020

Yea but will only come to light at the end of the season after the 150th year celebration. Port is all about Public perception this year and going into the 150th they want to start off on a positive note.
Watch them attempt to hide negative stories with cover-ups. Rucci and C Cornes will be going out of the way writing Positive storeys.

It's the Port Way

 

[MRB37]

I wasn't surprised when Jenkins turned out to be a knob but I was really dissappointed with how Sauce conducted himself. Hopefully the current crop of seniors won't pull the same s**t.

You spend long enough in that sort of culture and eventually it'll eat everyone. Sauce is a good bloke, but eventually you'd have the attitude "why should I be the only one to do the right thing?"

 

[Kane McGoodwin]

You spend long enough in that sort of culture and eventually it'll eat everyone. Sauce is a good bloke, but eventually you'd have the attitude "why should I be the only one to do the right thing?"

Yes, unfortunately our selection policy of sticking by players in poor form led to a poor culture.

Reward players on performance is always a better policy.

 

[Mr_Moogle]

You spend long enough in that sort of culture and eventually it'll eat everyone. Sauce is a good bloke, but eventually you'd have the attitude "why should I be the only one to do the right thing?"

A very good point. This is something I've experienced myself actually but I hadn't made the connection.

 

[ad victoriam]

You spend long enough in that sort of culture and eventually it'll eat everyone. Sauce is a good bloke, but eventually you'd have the attitude "why should I be the only one to do the right thing?"

When a Person believes they are Bullet Proof they drag others along for the ride. When they get a taste of reality they also drag others along for the ride. Yes, it's easy to blame the leaders, but they only play a part in shaping they do not do the making.
And these people are the easygoing nice ones. they attract others who also believe them. The trick is finding who they are. and acting early.

 

[WaynesWorld19]

 

[Thetrader15]

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Big off season for Alex!

 

[Kane McGoodwin]

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Was mentioned at the time of his announcement.

Hence some are thinking he will make a comeback after his divorce...

 

[WaynesWorld19]

Big off season for Alex!

Understatement .....so I can understand him retiring

 

[Redleg Crow]

Thankfully we can’t give up pick 2 for Rance